Free Trial

Aussie bond futures opened weak and....>

AUSSIE BONDS
AUSSIE BONDS: Aussie bond futures opened weak and have clung to their lows for
most of the day, currently trading at 97.21, down 3bps. The Sep 26 low comes in
just below current levels at 97.20.
- 3-year futures have also come under pressure, shedding 2bps to trade at 97.870
marking fresh monthly lows. 
- The 3s-10s curve has steepened another 1.4bps to 71.4bps despite edging back
in from early highs. The yield curve is at its steepest level in 7-months. 
- The AU-US spread has risen from last week's lows and sits at -46.70bps. The
real yield spread is at -23.75bps, testing 2015 levels, even as Aussie inflation
expectations continue to underperform.
- The weakness comes as AOFM sold AUD500mn in 2.75% 21 Nov 2028 bonds today
which received 4.94 times the amount of debt offered compared with the last 5
auction average of 4.3.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.